Discrepancies

Discrepancies in International Trade

Meaning of Discrepancies, according to the Dictionary of International Trade (Global Negotiator): In the context of letters of credit, discrepancies arises when documents presented under a letter of credit do not conform to the terms of the credit; generally an error, contradiction or omission related to the documents constitutes the discrepancy. The bank will refuse to pay against documents unless the applicant (the buyer) agrees to amend the credit or otherwise waive objections to payment under credit. Neither is the confirming bank obliged to pay. See letter of credit; UCPDC Uniform Customs and Practice for Documentary Credits.